DWP Payout Worth £5,800 Could Be Paid For Thousands Of Benefit Claimants After Rule Change
Good news for PIP claimants. A Supreme Court judgment ruled that the DWP got the law wrong when deciding the points PIP claimants could get for the activity of “engaging with other people face to face” during their assessment. The court ruling is good news for people living in Lincolnshire including Skegness, Lincoln, Boston, Scunthorpe, and Grimsby, who have been affected.
Thanks to a successful court ruling, thousands of Personal Independence Payment (PIP) claimants could be due repayments of up to £5,8000.
Claimants who are affected by the Supreme Court Judgement could back payments as far back as April 2016.
The Supreme Court judgment, known as the “MM Judgement,” has changed the way the DWP considers the definition of “social support” when assessing PIP claimants’ engagement with others face-to-face.
In July 2019, the Supreme Court handed down the MM Judgement, which ruled that the DWP had misinterpreted the law when assigning points to PIP claimants for the activity of “engaging with other people face to face” during their assessment.
Prior to this ruling, the DWP determined PIP claims based on whether claimants required prompting to engage with others, resulting in lower scores and potential missed entitlement to higher elements of PIP payments.
Following the MM Judgement, the DWP began an administrative exercise in 2021, reviewing PIP claims since April 2016 to determine if claimants were eligible for additional support during the Daily Living part of the assessment.
The DWP have identified around 79,000 cases where claimants were previously assessed as needing prompting, and the DWP has already made approximately 14,000 payments to those who were underpaid due to the new ruling.
The DWP has made a significant effort to rectify the situation, with approximately £74 million worth of arrears already paid out to affected claimants.
Each payout has averaged around £5,300, although the actual amount received may vary depending on individual circumstances.
However, this is just the beginning, as the DWP has identified around 326,000 additional cases that need to be reviewed, indicating that more repayments are expected.
The department is actively reaching out to approximately 284,000 existing claimants, urging them to contact the DWP if they believe they may have been affected by the ruling.
This proactive approach demonstrates the DWP’s commitment to rectifying any potential underpayments promptly.
Who is Affected by the MM Judgement?
The MM Judgement primarily impacts the assessment of the Daily Living component of PIP. It specifically targets cases where additional points for Activity 9 of the PIP assessment could make a substantial difference to the amount of PIP claimants are entitled to.
Disability Rights UK, a prominent charity, has highlighted two groups of people who may have missed out on the enhanced rate of the Daily Living component or were awarded the standard rate when they should have qualified for the enhanced rate:
Individuals who regularly meet with a mental health professional and require this support to manage face-to-face encounters.
Claimants who rely on specific friends or relatives with relevant experience in supporting them during social situations.
To ensure a fair assessment, the DWP is not reviewing claims that continuously received the enhanced rate of the daily living part of PIP since April 6, 2016, or cases where a tribunal decision was made after that date.
Similarly, claims that were denied PIP before April 6, 2016, are not being reconsidered.
The Minister for Disabled People, Health and Work, Tom Pursglove, has emphasized the government’s commitment to making backdated payments to all claimants affected by the MM Judgement as quickly as possible.
In addition to continuing to review claims impacted by the definition of “social support,” the DWP is also exploring a more proportionate approach for claimants affected only by the timing element.
They will invite approximately 284,000 claimants falling into this category to contact the department if they believe their claim has been affected by the judgment.
In a written statement published by the House of Lords last week, Minister for Disabled People, Health and Work, Tom Pursglove said: “We are committed to making backdated payments to all claimants affected by this judgment as quickly as possible. So, as well as continuing to review claims affected by the definition of ‘social support’, we are also testing a more proportionate approach for claimants who might be affected by the timing element only.
“We will be inviting around 284,000 claimants in this group to contact the department if they think their claim is affected by this judgment and they were not previously identified as needing help to engage with other people face to face because any help they received was in advance. I believe that prioritising cases where claimants are more likely to be entitled to more support is the correct approach.”